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Prepared for University of Tennessee Health Sciences Center

UTHSC 2016 Student Housing Survey January 2017 1

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2.1 Background ....................................................................................................................................... 3

2.2 Survey Design and Study Area ....................................................................................................... 3

2.3 Survey Administration ..................................................................................................................... 5

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3.1 Profile of Respondents .................................................................................................................... 6

3.2 Location of Respondents ................................................................................................................ 7

3.3 Unit Configuration Preferences ...................................................................................................... 8

3.4 Housing Costs ............................................................................................................................... 12

3.5 Locational Factors ........................................................................................................................ 13

3.6 Unit or Building Amenities Expectations .................................................................................. 14

3.8 Summary of Survey Results ........................................................................................................ 17

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4.1 Off-Campus Housing Market ....................................................................................................... 18

4.2 Relationship to U3/Hyphen Survey of the Memphis Medical District (Phase 1) ................. 20

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5.1 Demand Analysis .......................................................................................................................... 23

5.1 Recommended Pricing and Unit Configuration ........................................................................ 25

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In collaboration with University of Tennessee Health Science Center Office of Student Affairs, Perkins+Will completed a survey of current students to understand student demand and preferences for housing. The survey was administered to 2,428 UTHSC students enrolled in fall 2016. The survey targeted individuals based at the Memphis campus (online students were excluded from this study) and all students that qualified were emailed the survey questionnaire at the end of September 2016. The survey was completed at a response rate of 30.4%. The majority of respondents are completing doctoral level studies (approximately 80.5% of respondents); this reflects the overall composition of the student body based at the UTHSC Memphis campus.

The survey specifically probed student demand for housing within the area of the Memphis Medical District that is adjacent to the UTHSC campus. Questions investigated student housing preferences (e.g., price, amenities, building features), as well as students’ current housing arrangements. Voluntary demographic questions provided greater insight into the characteristics of demand for housing.

Summary of Housing Demand

Based on responses to key questions in the survey, Perkins+Will estimates the demand for new housing on the UTHSC campus to be between 375 and 450 beds (or 185 to 225 apartment-style units). This level of demand will likely attract significant developer interest should UTHSC pursue a public-private partnership to deliver new housing. Other important findings that informed the estimated level of demand include:

1. Of the sample (UTHSC students based at the Memphis campus), 22.2% (or 125 students) indicated that they are likely to move to the Medical District if housing that meets their needs and preferences is available. Close to half of all respondents (46.8%) who answered that they would be likely to move to the Medical District (if housing that meets their needs and preferences is offered) indicated that they currently live in one of two neighborhoods: Mud Island and Midtown. Both of these neighborhoods are located between one and two miles from the Memphis campus.

2. Respondents are currently paying a median rent of $788 per month for housing, including utilities. However, 80% of students are paying up to $1,050 per month.

3. There is a measurable difference in rents between those living in the Medical District and those living outside of it. The median rent among respondents living in the Medical District is $695 per month. For those living outside the Medical District, it is $819 per month.

4. Perkins+Will analyzed the supply of market rate rental properties within ½ mile of the UTHSC campus and determined that it is generally inadequate to meet the needs of most UTHSC students due to age and condition of properties, limited supply, and concerns over the safety when walking to and from the campus.


2.1 Background

The 2016 Student Housing Survey was conducted to understand students’ housing preferences in pursuit of supporting the institution’s educational mission. UTHSC has experienced a 10% growth in enrollment between Fall 2012 and Fall 2016, with growth occurring across five of the six UTHSC Colleges. All current students are living in off-campus housing. The 2016 Student Housing Survey represents a response to the trend of steady enrollment growth (see Figure 1) and an awareness of changing student needs for housing in Memphis.

Figure 1. Overall UTHSC fall enrollment growth (UTHSC Factbook)

2.2 Survey Design and Study Area

The voluntary survey was structured to collect basic demographic information on students, information on their current housing location, and their level of interest living in that portion of the Memphis Medical District (MMD) that is immediately adjacent to the UTHSC Memphis campus. For the purposes of this study, the MMD was defined as the area south of Poplar Avenue; west of Interstate 69; north of Peabody Avenue / Vance Avenue; and roughly east of Danny Thomas Boulevard (Figure 2). It should be noted that the definition of the Medical District that was prompted in the survey represents the UTHSC Planning Boundary for the 2015 Master Plan. The survey distinguished between those who live in the Medical District and those that do NOT live in the Medical District. On this basis, the survey questions probed the factors that respondents considered important when making housing decisions and assessed the likelihood of moving to the


Medical District by those that currently live elsewhere. The following is a breakdown of what questions were asked of each group (see Appendix B for the complete survey script).

Students who DO NOT live in the Medical District were asked:

Neighborhood they currently live in Reasons for not choosing to live in the Medical District The importance of pre-selected factors when choosing their current location (they were

also given the opportunity to list other major factors) Current housing configuration Preferred housing configuration Importance of select neighborhood amenities Importance of select building features/amenities Likelihood to move to the Medical District if a housing opportunity with their ideal mix of

neighborhood amenities and building features became available. Average housing costs per month (including utilities) in their current housing

arrangement

Figure 2. Geography defined in the survey as the Medical District (corresponds with planning boundary of UTHSC Master Plan, 2015)


How much they would be willing to pay to live in the Medical District Demographic questions

Students who DO live in the Medical District were asked:

The importance of pre-selected factors when choosing their current location (they were also given the opportunity to list other major factors)

Current housing configuration Preferred housing configuration Importance of select neighborhood amenities Importance of select building features/amenities Average housing costs per month (including utilities) in their current housing

arrangement in the Medical District Demographic questions

2.3 Survey Administration

The survey was administered by the UTHSC Office of Institutional Effectiveness by email to 2,428 UTHSC students enrolled in fall 2016. The survey targeted individuals based at the Memphis campus (online students were excluded from this study) and all students that qualified were emailed the survey questionnaire at the end of September 2016. The survey was completed by 771 students and with adjustments for the level of survey completion, the survey response rate was 30.4%. Appendix A provides a breakdown of all enrolled students in Fall 2016. The students who are primarily located in Knoxville, Nashville, or who study online were excluded from this study. The population of students who were sent the survey were those whose primary study location is Memphis.

It should be noted that the clinical rotations of UTHSC medical students do not correspond to semesters. Therefore, a third (M3) or a fourth (M4) year student may live in Memphis for part of the semester and outside of Memphis for the rest of the summer. Although medical student clinical rotations are tracked by UTHSC, this database was not included in this study and medical students were identified as primarily studying in Memphis. While all first year PharmD students live in Memphis, second term PharmD (P2s) and beyond have the opportunity to complete the program in Nashville. Thus, some Pharmacy students are permanently out of Memphis, but were included in the survey because they spent their first three terms in Memphis. Audiology and Speech Pathology students – who only live in Knoxville – also received the survey. To mitigate this, efforts were made to remove the few responses received from respondents who indicated that they live in Knoxville.


3.1 Profile of Respondents

The demographic findings of the survey found that gender representation was slightly higher for females (55.4%) than males (44.6%). The average age of all survey respondents is approximately 26 years old and the age group of 20-29 years represents 78.4% of all respondents. Figure 3 shows that 40% of all survey respondents are enrolled in the College of Medicine followed by the College of Dentistry (21%). Table 1 shows that the majority of respondents are pursuing a Doctoral degree at UTHSC.

Class Level Number Percentage Bachelor 61 7.9% Masters 61 7.9% Graduate Certificate 11 1.4% Doctorate 621 80.5% Postdoctoral 5 0.6% Other 12 1.5%

Total 771 100.0%

Figure 3. Respondents by college affiliation

Table 1: All respondents by degree pursuit


There are currently 11 doctoral programs offered across different Colleges at the UTHSC Memphis campus. Of the total 2,365 students enrolled in a Memphis-based program, approximately 1,904 students are enrolled in doctoral level studies; this represents 81% of the total student body. The majority of respondents are completing doctoral level studies; as seen in Table 1, approximately 80% of respondents are in a doctoral program. Therefore, the survey sample closely reflected the overall composition of the student body based at the UTHSC Memphis campus and the overall group that received the survey. On the basis of this reflection and the response rate (30.4%), the results of this survey are considered representative.

3.2 Location of Respondents

Approximately 80% (n=619) of all survey respondents do not currently live in the Memphis Medical District. The College of Medicine yielded the highest representation (45%, n=69) of students currently living in the Memphis Medical District (MMD) out of all survey respondents that live in the MMD (n=153). Figure 4 depicts the number of individuals that responded as either “yes” or “no” to the question, “Do you live in the Memphis Medical District?”

Most Memphis-based UTHSC students do not live in the Medical District: 80.2% of students surveyed do not live in the Medical District. However, the students that do not live in the Medical District are still local: approximately 84% of the out-of-District students surveyed live within the City of Memphis, 36.5% live on Mud Island, and 24.4% live in Midtown (as seen in Table 2). Within the “Other” category, the most cited neighborhoods were East Memphis, Cordova, Bartlett, Collierville, and Germantown.

Figure 4. Respondents that live in the Medical District by College affiliation


Table 2: Neighborhood of residence (respondents who do not live in the Medical District)

Neighborhood of residence Percent of

respondents

Mud Island 36.5% Other 27.1% Midtown 24.4% Downtown 5.7% South Main 5.3% Crosstown 0.5%

The Edge 0.4%

Total 100.0%

3.3 Unit Configuration Preferences

When comparing all respondents’ current housing configuration (n=723) to their preferred housing configuration (n=720), Figure 5 demonstrates a stronger preference for one and two bedroom configurations. This suggests there is pent-up demand for smaller unit types among UTHSC students and that the current supply of housing units in the market is not meeting students’ needs.

Figure 5. Current and preferred housing configuration by ALL respondents

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Figure 6 focuses on the unit preferences for respondents that currently live in the Medical District (n=145). The overwhelming preference among this group of respondents is for smaller unit types (one- and two-bedroom units), which aligns closely with current housing configurations in the Medical District.

Figure 6. Current and preferred housing configuration of those who currently live in the Medical District

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Figure 7 focuses on the unit preferences for respondents who do not live in the Medical District (n=575). The figure shows a substantially higher proportion of students living in larger unit configurations (3+ bedrooms) than compared to those living in the Medical District. This is not surprising since those living in the Medical District are constrained by a limited supply of housing options, which mostly consist of rental apartments. For those choosing to live elsewhere in the Memphis region, the options are much broader. However, despite the range of housing choices to those living outside the Medical District, there is a clear preference for more one- and two-bedroom configurations. This suggests that students living outside the Medical District are living in units that do not meet their current needs.

Figure 7. Current and preferred housing configuration of those who DO NOT currently live in the Medical District

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Of respondents who indicated that they are either “likely” or “extremely likely” to move to the Medical District (n=125 or 22.2% of the sample), a higher preference for two-bedroom configurations was noted by respondents (Figure 8). Interestingly, though, preferences for larger unit types was strong as well. This suggests that the lack of larger unit types in the Medical District is resulting in some students to look for housing further from the UTHSC campus than desired.

Figure 8. Current and preferred housing configurations of those who indicated they were LIKELY to move to the Medical District, if housing that met their needs and preferences is offered


3.4 Housing Costs

All respondents were asked what they currently pay for housing per month including utilities. The overall median monthly housing cost among respondents is $788 (n=706). Approximately 75% of respondents have monthly housing costs that range between $500 and $1,000. Therefore, somewhere between $1,000 and $1,100 per month is where price sensitivity becomes most acute and housing costs above this amount are likely too expensive for most UTHSC students. The breakdown of how much respondents pay for housing is shown in Figure 9.

Housing costs differ based on where respondents live and the style of housing they live in. Respondents living in the Medical District have a median housing cost of $695 per month. For students living outside the Medical District, the median monthly housing cost is $819, which is 18% more than the median cost for students living in the Medical District. Figure 10 displays the percentage breakdown of student housing costs based on where they live.

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Figure 9. Monthly housing costs of UTHSC students

Figure 10. Monthly housing costs of UTHSC students by where they live


3.5 Locational Factors

When asked about factors that influenced their current housing location, neighborhood safety was most cited by respondents – both those that live within and outside of the Medical District – as a critical factor when evaluating their current housing location (62%). This was followed by length of commute (in time) cited by 34% of respondents, academic/clinical schedule cited by 18% of respondents, neighborhood amenities (16%), and method of transportation (9%).

When the response options of “Important” and “Critical” are combined to identify the factors of highest importance to respondents, results prove that length of commute (89%) is slightly more important to current Medical District residents than neighborhood safety (84%), followed by academic/clinical schedule (76%), with neighborhood amenities as the lowest in importance (54%). This indicates a strong pull among students to live as close to the UTHSC campus as possible and that mitigating the effects of perceived or real neighborhood safety concerns would likely reveal additional pent-up demand for Medical District housing. Table 3 is a score ranking of locational factors that are further broken down in Figure 11, which shows the variation of response for each factor.

Table 3. Locational factors (beyond cost) that that scored highest in importance among respondents when deciding where to live / the location of their current housing

Students living in the Medical District (146 responses)

Students living outside the Medical District (575 responses)

1. Length of commute (time) 2. Neighborhood safety 3. Academic / clinical schedule 4. Method of transportation 5. Neighborhood amenities

1. Neighborhood safety 2. Length of commute 3. Academic / clinical schedule 4. Neighborhood amenities 5. Method of transportation


Figure 11. Importance of different LOCATIONAL FACTORS when deciding where to live / current housing location (ALL respondents)

Students who do not currently live in the Medical District were asked “why not” in order to identify any unanticipated factors influencing students’ locational choices. The three most frequent factors cited for not choosing to live in the Medical District were: (1) location and suitability; (2) safety concerns about the Medical District; and (3) better affordability found elsewhere. For those who cited “location and suitability” as a factor, it was often combined with other factors associated with a lack of suitable housing in the Medical District, such as size of unit and the availability of yard space. It is unclear how many of these respondents found it more suitable to own rather than rent (this was not specifically asked of those who do not live in the Medical District).

Another consideration in relation to housing suitability is household situation. For example, a sizeable number of respondents live with family/relatives and require larger unit sizes. Numerous respondents also noted that they did not relocate to attend UTHSC. A smaller contingent of respondents noted that their unfamiliarity with the Medical District was a factor in their decision to choose to live elsewhere.

3.6 Unit or Building Amenities Expectations

Students who do not currently live in the Medical District were asked to rate the importance of 14 unit or building amenities when considering if they would choose to move to the District. Respondents were asked to rate each amenity as not important, somewhat important, important, or critical when making a decision to live in the Medical District. When the scores for important and critically important amenities were tabulated, six amenities were found to be influential for half of respondents – Table 4 lists these high scoring amenities (in order of strength of importance).

0% 10% 20% 30% 40% 50% 60% 70% 80% 90% 100%

Method of transportation

Length of commute (time)

Academic/clinical schedule

Neighborhood amenities

Neighborhood safety

Other

Not important Somewhat important Important Critical


Table 4. Unit or building features/amenities that scored highest in importance among respondents when deciding whether to move to the Medical District if housing that met their needs and preferences is offered

Students living outside the Medical District

1. On-premises parking 2. In-unit washer and dryer 3. 24-hour security 4. UTHSC internet 5. Fitness center 6. Yard/green space

Figure 12 displays the variation in importance for each factor. For instance, on-premises parking is considered a critical building feature by 33% of respondents. While a pet-friendly building arrangement was considered critical by 27% of respondents, there is a notable number of respondents who do not consider this to be an important consideration. Most respondents expressed that an in-unit washer/dryer feature and on-premises parking held importance to them. This suggests that inclusion of these two building amenities would likely appeal to the greatest number of respondents who do not currently live in the District.

Figure 12. Importance of proposed UNIT or BUILDING AMENITIES when deciding whether to live in the Medical District (only respondents who do not currently live in the Medical District)

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Pet friendly

In-unit washer and dryer

UTHSC internet

On-premises parking

Yard/green space

24-hour security

Fitness center

Swimming pool

Main lobby with front desk

Meeting space

Club room

Reservable event room

Community kitchen

Furnished units

Other



3.7 Neighborhood Amenity Expectations

Students who do not currently live in the Medical District were asked to rate the importance of seven neighborhood amenities when considering if they would choose to move to the District. For each amenity, respondents were asked to rate if it was not important, somewhat important, important, or critical when making the decision to move to the Medical District. When the scores for important and critically important features were tabulated, four neighborhood amenities were found to be influential factors – Table 5 lists these high scoring neighborhood amenities (in order of strength of importance).

Table 5. Neighborhood amenities that scored highest in importance among respondents when deciding whether to move to the Medical District if housing that met their needs and preferences is offered

Figure 13 displays the variation in importance for each factor. For example, neighborhood safety is considered a critical neighborhood amenity by 67% of respondents when deciding whether to move to the Medical District. However, the specific ways in which neighborhood safety could be achieved were not asked or specified in the survey (e.g., security guard presence, cameras, lighting, etc.). The amenities that were found to be least important by respondents are childcare facilities and dry cleaning. Most respondents expressed that grocery stores/delis and a comfortable pedestrian environment/open space held some importance to them. This suggests that improvements to these two factors would likely impact the greatest number of respondents who do not currently live in the District.

Students living outside the Medical District

Important Neighborhood Amenities

1. Neighborhood safety 2. Comfortable pedestrian

environment and open space 3. Grocery store and deli 4. Restaurants and cafes


Figure 13. Importance of different neighborhood amenities when deciding whether to live in the Medical District

3.8 Summary of Survey Results

Over 30% of UTHSC Memphis campus enrollees participated in a survey about their current and preferred housing situation. Results from the survey indicate that 80% of respondents do not live in the immediate neighborhood surrounding the UTHSC campus but instead have chosen to live elsewhere in the Memphis region. This is not because of a lack of interest or desire to be close to the campus – in fact proximity is a highly important factor for many – it is due to concerns of neighborhood safety, limited supply of adequate housing, and limited neighborhood amenities, such as shops, restaurants, and parks and trails.

0% 20% 40% 60% 80% 100%

Grocery store and deli

Convenience stores

Restaurants and cafes

Childcare facility

Dry cleaning

Neighborhood safety

Comfortable pedestrian environment and open space

Other



4.1 Off-Campus Housing Market

Perkins+Will analyzed the supply of market rate rental properties within ½ mile of the UTHSC campus (Figure 14 and Table 6) and determined that it is generally inadequate to meet the needs of most UTHSC students. First, the overall supply of units is limited. Among the 10 properties profiled, there are just over 700 total housing units. However, given typical rental patterns, there is rarely more than 40 to 50 available units at any one time. Second, most of the properties are more than a three block walk from the core campus. This is a barrier for many students given stated concerns of crime and safety in the Medical District. Third, over 90% of the units profiled are located in buildings more than 50 years old and most suffer from poor maintenance and lack the building and neighborhood amenities desired by UTHSC students.

Figure 14. Map of Market Rate Housing within ½-mile of the UTHSC Campus Core

The Bristol on Union

750 Adams Place

Blair Tower

Quimby Plaza Apts

Faulkner Court Apts

Park Tower Apts

Pauline Place Apts

Pauline Place

Faulkner Court Apts

Adams Plaza

2016 CARTO OpenStreetMap contributors


Table 6. Market Rate Rental Apartments Located within 1/2 –mile of the UTHSC Campus Core


4.2 Relationship to U3/Hyphen Survey of the Memphis Medical District (Phase 1)

The 2016 UTHSC Student Housing Survey is one of several research efforts that have been undertaken in the Medical District. Notably, a large electronic survey was completed by Hyphen Market Solutions (on behalf of the Memphis Medical District Collaborative, MMDC) from March to May 2016. The study broadly surveyed individuals who work, study, live, or do business in the Medical District and was completed by 2,110 individuals. The purpose of the survey was to understand the overall perceptions of the Medical District, which was defined using the MMDC’s boundaries as seen in Figure 15 (a slightly larger geography than the geography used for the 2016 UTHSC Student Housing Survey).

Figure 15. The definition of the Medical District (defined by the Memphis Medical District Collaborative) used in the Hyphen survey. Highlighted areas represent the institutions participating in the MMDC.


The Hyphen survey asked questions about livability, safety, perceptions of local school quality/education opportunities, housing options, and other factors that affect a sense of community. Although the study probed demand and neighborhood improvement opportunities among both those who live in the District and those who live elsewhere, only a quarter of respondents were students who study in the Medical District (25.9%); the majority of respondents were full-time employees who work in the District (66.9%).

The following is a comparison of the Hyphen study’s broad findings in relation to the findings for the specific student-focused findings of the UTHSC Student Housing Survey. Although there were many similar findings found in the areas of livability and safety perceptions, some divergence of findings should be noted for the results on housing expectations.

Livability and Safety Perceptions

The Hyphen survey found that 19% of respondents had a low connection to the community. This coincides with the qualitative responses of many students who participated in the UTHSC Student Housing Survey: many that do not live in the Medical District indicated that they do not have favorable perceptions of the local sense of place or community within the District.

Dissatisfaction with the quality of housing options and safety in the Medical District were reported in the Hyphen survey’s livability and housing results. The Hyphen study found that 11.9% of respondents are extremely dissatisfied with housing options, while 29.3% are dissatisfied. 63% of Hyphen survey respondents are “dissatisfied to extremely dissatisfied” with safety in the District. These results reflect the main finding of the UTHSC Student Housing Survey: suitable housing options for students are not currently available in the Medical District and perceptions of safety are an influential factor for students when deciding where to live. The nuance that some student respondents were not aware of housing options in the Medical District when they were completing their housing search was also suggested in the Hyphen survey.

Housing

The Hyphen survey results on housing costs and price ranges reflect the broader audience to which the survey was administered: results for housing cost preferences are given for home ownership, rather than rental accommodations. In addition, the configurations that respondents would prefer (or consider a minimum) were two and three bedroom arrangements. Although the two and three bedroom categories were strong preferences of the UTHSC Student Housing Survey study, a good number also indicated that they would prefer a one-bedroom arrangement. In fact, 19% of student respondents – who would likely move to the Medical District if adequate housing became available – indicated that they would prefer a one-bedroom configuration.

The style of housing that the Hyphen survey uncovered as desirable may differ from the specific expectations of students. The Hyphen survey found that there is an opportunity to consider a planned community model for neighborhood development, with a focus on single-family homes and town houses. However, the Hyphen survey also found that there is interest in a mix of housing opportunities, with varied rental options. Furthermore, the study


found that there is interest in offering more on/near-campus, student-only housing options. The respondents of the UTHSC Student Housing Survey were not asked about student-only arrangements but they demonstrated that they live in a variety of typologies. Local perceptions and preferences for different housing models that serve students represents an area for further study.

Other Factors

The Hyphen survey found that perceptions of public transit, green space/outdoors, and dining/retail services could be improved in the Medical District. These findings are congruent with the reasons UTHSC students gave for not living in the Medical District – a limited critical mass of amenities. Of these three factors (public transit, green space/outdoors, and dining/retail) noted in the Hyphen survey’s findings, student respondents of the UTHSC Student Housing Survey more frequently cited dining/retail services as important amenities that they find lacking in the Medical District or that they would consider important when considering a move to the Medical District.


5.1 Demand Analysis

One of the purposes of the Student Housing Survey is to measure pent-up demand for UTHSC-sponsored housing on or near the campus. Since UTHSC does not currently provide housing, students must navigate the general market to meet their housing needs. Because the survey asked a slightly different set of questions for those who live in the Medical District compared to those who live outside of it, the methodology for estimating demand from these two groups of students is different.

Housing Demand from Students Living Outside the Medical District

The methodology for calculating demand from students living outside of the Medical District uses the responses to Question 12 on the survey asking “if housing that met your needs and preferences is offered in the Medical District, what is the likelihood you would choose – or would have chosen to live in the District.”

The response rate from respondents was applied to the total number of on-campus students not living in the Medical District in order to generate a “maximum potential demand” from this type of student. The next step was to apply a “closure” rate to reflect that not all students, despite their stated likelihood to do so, would sign a lease if UTHSC-sponsored housing were available. Perkins+Will assumes a 60-65% closure rate for those who indicated that they are “extremely likely” to live in the Medical District; a 35-40% closure rate for those “likely” to live in the Medical District; 1-5% closer rate for those “unlikely”; and a 0% closure rate for those “extremely unlikely.”

Based on the calculations outlined above, the demand for housing—from students living outside the Medical District—is 180-240 beds or 90-120 units, as shown in Table 7.

Table 7. Housing demand from students living outside the Medical District

Extremely Likely 5.3% x 1,897 = 101 x 60% - 65% = 60 - 65 30 - 33Likely 16.9% x 1,897 = 321 x 35% - 40% = 112 - 128 56 - 64Unlikely 51.3% x 1,897 = 973 x 1% - 5% = 10 - 49 5 - 24Extremely Unlikely 26.5% x 1,897 = 503 x 0% - 0% = 0 - 0 0 - 0

1,897 182 - 242 91 - 121

1 Because individuals were surveyed, demand was assumed to be on a per bed (or bedroom) basis. Demand for bedrooms was then translated into housing units based on stated preferences for different housing unit types (i.e., studio, one-bedroom, two-bedroom, etc.).

Units1

Likelihood of Living in the Medical District (if adequate housing were available)

Survey Response

Rate

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Medical District

Maximum Potential Demand

Estimated Potential DemandClosure

Rate Beds1


Housing Demand from Students Living Within the Medical District

Question 3 of the survey asked students if they currently live in the Medical District. Approximately 20% of respondents stated that they live in the Medical District. As a result, they were not asked Question 12 about their likelihood of choosing to live in the Medical District because they already do so. Nevertheless, these respondents represent a pool of potential demand. Given the lack of quality housing options in the Medical District noted previously in the report, it would follow that a sizable proportion of these students would likely have chosen a UTHSC-sponsored housing option were it to have met their needs and preferences.

As illustrated in Table 8, demand from those who have chosen to live in the Medical District is quantified by applying a 20% response rate to all on-campus enrolled students (estimated at 2,365 for Fall 2016). This yields a maximum potential demand of 468 beds. Perkins+Will assumes a “closure” rate of 40-45% for this group of students, which translates to approximately 190-210 beds (or 95-105 units).

Table 8. Housing demand from students living within the Medical District

Total Demand for UTHSC-Sponsored Housing

Combining the calculated demand from both students living outside and within the Medical District yields a total potential demand for 375 to 450 beds or 185 to 225 units. This level of demand will likely attract significant developer interest should UTHSC pursue a public-private partnership to deliver new housing.

It should be noted that this demand is based on a narrow segment of the overall market for new housing in the Medical District: UTHSC students. Depending on how a housing development is designed and marketed, it may easily attract other target markets beyond UTHSC students that have an interest or affinity to live in the Medical District. These other target markets could include UTHSC faculty and staff, students at other nearby educational institutions, employees of other Medical District organizations, Medical District partners, and persons who want to be proximate to Downtown Memphis but do not want to pay the higher costs associated with many newer downtown housing developments. These additional sources of demand, if they were appropriate to be integrated into a UTHSC-led project, could significantly increase developer interest.

A related market study conducted on behalf of UTHSC to evaluate housing demand from these other sources is currently underway by Perkins+Will.

Yes 19.8% x 2,365 = 468 x 40% - 45% = 187 - 211 94 - 105No 80.2% x 2,365 = 1,897 x See Table 6 See Table 6

1 Because individuals were surveyed, demand was assumed to be on a per bed (or bedroom) basis. Demand for bedrooms was then translated into housing units based on stated preferences for different housing unit types (i.e., studio, one-bedroom, two-bedroom, etc.).

Do you live in the Medical District

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Beds1 Units1Closure Rate


5.1 Recommended Pricing and Unit Configuration

Although a lot of additional information is required to test the feasibility of a proposed housing program, findings from the survey illuminate what might be feasible rents and unit mix should any new development be specifically restricted or targeted to UTHSC students. Results from questions related to current housing costs and willingness to pay – if housing was available that met respondent needs – have been cross referenced. Table 9 displays recommended rent ranges and unit mix. It may appear that some of the larger unit sizes have recommended rents well above what respondents stated they are currently paying for housing costs or would be willing to pay. However, it is assumed that many of these larger unit types would accommodate roommate situations in which housing expenses would be shared.

Table 9. Recommended Rent Range and Unit Mix for New Medical District Housing Targeted to UTHSC Students

Recommended Rent Range

Recommended Mix of Units

Studio/ Efficiency $700-$775 5%

1 bedroom $900-$1,050 35%

2 bedrooms $1,150-$1,450 45%

3 bedrooms $1,500-$1,800 15%

Total $700-$1,800 100%


UTHSC is interested in understanding student preferences to help inform planning activities for housing needs near UTHSC. The following survey is voluntary, confidential and anonymous. We estimate it will take approximately 5 minutes to complete. Thank you for devoting our valuable time to assist us during this very busy time of year - we value your thoughts and feedback. Again, this survey is anonymous. QID1. What UTHSC College are you enrolled in/affiliated with? College of Dentistry (1) College of Graduate Health Sciences (2) College of Health Professions (3) College of Medicine (4) College of Nursing (5) College of Pharmacy (6) QID2. What degree or level of scholarship are you currently pursuing? Bachelor (1) Masters (2) Graduate Certificate (3) Doctorate (4) Postdoctoral (5) Other - please explain (6) ____________________

This is the Memphis Medical District. Some of the questions will ask you about this district.


QID3. Do you live in the Memphis Medical District? The Memphis Medical District (MMD) is the neighborhood that surrounds UTHSC. For the purposes of this study, MMD is considered the area SOUTH of Poplar Avenue; WEST of Interstate 69; NORTH of Peabody/Vance Avenue; and roughly EAST of Danny Thomas Boulevard. Yes (1) No (2) If Answer = No (2) to Do you live in the Memphis Medical District, Respondents are directed to the following question

QID4 Why not? If Answer = No (2) to Do you live in the Memphis Medical District, Respondents are directed to the following question

QID5 What neighborhood do you currently live in? Victorian Village (1) Legends Park (2) Mud Island (3) Downtown (4) South Main (5) The Edge (6) Midtown (7) Crosstown (8) Other - please name (9) ____________________ QID6 What were the major factors when choosing your current location? Please list up to 3 factors. QID7. How important were the following factors (other than cost) when deciding where to live/the location of your current housing?

Not Important (1)

Somewhat Important (2)

Important (3) Critical (4)

Method of transportation (1)

Length of commute (time)

(2)

Academic/clinical schedule (3)

Neighborhood amenities (4)

Neighborhood safety (5)

Other (6)


QID8. What is your current housing configuration? Studio/efficiency (1) 1 bedroom (2) 2 bedrooms (3) 3 bedrooms (4) 4+ bedrooms (5) Other - please explain (6) ____________________ QID9. What is your preferred housing configuration? Studio/efficiency (1) 1 bedroom (2) 2 bedrooms (3) 3 bedrooms (4) 4+ bedrooms (5) Other - please explain (6) ____________________ QID10. Please rate how important the following proposed neighborhood amenities would be when deciding whether to live in the Memphis Medical District.

Not Important (1)

Somewhat Important (2)

Important (3) Critical (4)

Grocery store and deli (1)

Convenience stores (2)

Restaurants and cafes (3)

Childcare facility (4)

Dry cleaning (5)

Neighborhood safety (6)

Comfortable pedestrian

environment and open space (7)

Other (8)


QID11. Please rate how important the following proposed building features/amenities would be when deciding whether to live in the Memphis Medical District.

Not Important

(1) Somewhat

Important (2) Important (5) Critical (3)

Pet friendly (1)

In-unit washer and dryer (2)

UTHSC internet (3)

On-premises parking (4)

Yard/green space (5)

24-hour security (6)

Fitness center (7)

Swimming pool (8)

Main lobby with front desk (9)

Meeting space (10)

Club room (11)

Reservable event room (12)

Community kitchen (13)

Furnished units (14)

Other (15) If Answer = No (2) to Do you live in the Memphis Medical District, Respondents do not answer QID12. QID12 If housing that met your needs and preferences is offered in the Memphis Medical District, what is the likelihood that you would choose - or would have chosen - to live in the District? Extremely likely (1) Likely (2) Unlikely (3) Extremely unlikely (4)


QID13. On average, what do you currently pay for housing per month (including utilities)? Under $500 (1) $500 - 750 (2) $750 - 1,000 (3) $1,000 - 1,250 (4) $1,250 - 1,500 (5) $1,500 - 1,750 (6) Over $1,750 (7) If Answer = No (2) to Do you live in the Memphis Medical District, Respondents do not answer QID14. QID14. If a housing opportunity with your ideal mix of neighborhood amenities and building features became available in the Memphis Medical District, what would you be willing to pay to live in the District (per month, including utilities)? Under $500 (1) $500 - 750 (2) $750 - 1,000 (3) $1,000 - 1,250 (4) $1,250 - 1,500 (5) $1,500 - 1,750 (6) Over $1,750 (7) QID15. The following questions are optional. The answers to these questions will help us understand how housing would best serve the UTHSC student community and what demographic factors may influence housing preference. QID16. What is your gender? QID17. What is your age? QID18. Are you a... U. S. citizen (1) On a student or scholar visa (e.g. F-1, J-1 visa) (2) Immigrant visa (3) Unsure (4) QID19. Do you have special requirements for accessibility? Yes (1) No (2) QID21. Would you be interested in participating in further discussions around student housing? If "Yes", please provide your preferred contact information. Yes (23) ____________________ No (24)

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